Chapter 6: Group Life insurance

S, while in the process of converting her group life insurance to an indicual policy, dies. what happens to the claim her beneficiary submits

Full benefits are payable under the master contract

Under federal tax laws, what is the tax treatment for an employer providing $50,000 of a contributory group Term Life plan to all its eligible employees?

portions of the premiums paid for by the employer may be a tax deduction

which requirement must be met for an association to be eligible for a group life plan

Group was formed for a purpose other than acquiring insurance

Which of the following statements about noncontributory life insurance is false

a minimum number of employees is required to partcipate

group life insurance policies are generally written as

annually renewable term

Company XYZ offers a group term life insurance plan to its employees- what does each employee covered under this plan recieve

certificate of insurance

If its employees share in the cost of insurance, what type of group life insurance plan would a corporation have?

contributory

what group term life features permits an individual to depart from the group and continue to be covered without providing evidence of insurability

conversion

an employee of 20 years recently retired at 59&1/2 this employee group life contract can be

converted to an individual policy at an individual rate

Which provision is NOT a requirement in a group life policy?

AD&D

all individuals covered in a group contract will receive a

certificate

what type of group insurance plan involves employees sharing the cost

contributory

when an emplooyee is terminated, which statement is true about group term life conversion

Policy proceeds will be paid if the employee dies during the conversion period

Under a trustee group life policy- who would be eligible for a certificate of coverage

employee

which of the following is an important underwriting principle of group life insurance

everyone must be covered in the group

`a non-contributory plan requires _______ participation of all eligible emplyees

100%

an employee with 25,000 group term life coverage was recently fired- this employees group coverage maybe converted to a

Individual whole life policy

a noncontributory group term life plan is characterized by:

the entire cost of the plan is paid by the employer